Rhode Island Private Money
Lending Guide

Rhode Island at a Glance

Security InstrumentMortgage (with power of sale)
Foreclosure TypeNon-Judicial (power of sale)
Typical Foreclosure Timeline60-90 days
Usury Limits21% criminal usury limit; no specific limit for business-purpose loans
LicensingRhode Island Department of Business Regulation lender license may be required

Private Money Lending in Rhode Island

Rhode Island's compact market serves investors in Providence, Newport, and the broader New England region.

This guide covers the essential legal and compliance considerations for private money lenders originating loans secured by real property in Rhode Island. Whether you are a local private money lender or expanding into Rhode Island from another state, understanding these requirements is critical to protecting your investments and ensuring enforceability of your loan documents.

Key Compliance Considerations for Rhode Island

Rhode Island allows non-judicial foreclosure through power of sale, making it relatively fast at 60-90 days

The state has a 21% criminal usury ceiling and no specific limit for business-purpose commercial loans

Rhode Island has no statutory right of redemption after a power of sale foreclosure

Lenders should be aware of Rhode Island's unique mortgage recording requirements and documentary stamp tax

Generate Rhode Island-Compliant Loan Documents

Automate Loan Docs generates complete, Rhode Island-specific document packages that comply with all applicable state requirements. Every template is drafted by the attorneys at Geraci LLP, whose team has over 30 years of combined experience advising private money lenders across all 50 states — including extensive experience with Rhode Island lending transactions.

This guide is for informational purposes only and does not constitute legal advice. Private lending laws are complex and change frequently. Consult with a qualified attorney before originating loans in Rhode Island. The attorneys at Geraci LLP are available for state-specific legal consultation.

Related: Usury Laws by State | Deed of Trust vs Mortgage | Multi-State Lending Guide | Glossary

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